Saturday, February 2, 2008

Future Capital To List Amid Choppy Markets

Kishore Biyani's Future Capital, the first IPO of 2008, is all set to list on Feb 1, amidst choppy markets. Management, however, is focusing more on executing its new business plans than worry about the fate at the markets. The company has raised a $350 million logistics fund in partnership with the US based logistics company Aeroterm. The logistics fund will primarily focus on building warehouses and operate it on a rental model. The idea is to cater to the growing supply chain demand in India. The fund will also look at investing in transportation business. Logistics as an asset class has huge developmental need. Warehouse aren't pretty but its a pretty business to be in. As retail being at the core of the company there will be a retail fund sooner or later. Future capital has already committed Kshijij fund entirely and expects to deploy horizon fund in next 60 days. Their hospitality fund is also active given the first movers advantage in the real estate fund category.

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